When tenants pay rent by check, cash, or online, they may ask for a rent receipt. As a landlord, rent receipts are good business practice and may even be required by rental agreement terms or state landlord-tenant laws.
In this article, we'll walk you through why landlords use rent receipts, cover what information to include on a rent receipt, and give you a free rent receipt template.
What is a rent receipt?
A rent receipt is a document that confirms a rental payment from a tenant to a landlord. Rent receipts are commonly used for money orders, cash, card, and check payments. The landlord or property manager issues a receipt to tenants after receiving the payment, and both parties keep a copy.
Tenants can receive paper receipts or digital rent receipts. They can also be called a rent payment receipt, rental receipt, renter's receipt, or proof of rent payment.
Benefits of rent receipts
- Accurate Records: Tracks rent payments, late fees, and additional charges for parking or pets.
- Legal Obligations: Follows state laws where compliant rent receipts are mandatory.
- Avoid Disputes: A record of payment for rental transactions in case of any future disputes.
- Tax Purposes: Essential records for income tax reporting and potential tax credits.
- Paper Trail: Documents payments made for rent in person with cash, debit or card card, check, or money order.
How to write a receipt for rent payment
Rent receipt documents generally include details of rental income received, such as:
- Date of payment
- Rent amount paid
- Rental period
- Payment method (cash, check, bank transfer, or other method)
- Rental property address
- Tenant's name
- Recipient's details (name of landlord or property manager)
How to send a rent receipt
There are multiple ways to send a rent receipt:
- Deliver a paper receipt in person
- Mail an official receipt
- Email an electronic rent receipt
Automate rent payments and receipts with Baselane
Rent receipts help keep your financial transactions in order for legal purposes, income taxes, and accountability with tenants, but manual receipts are time-consuming and prone to human error.
Collecting rent payments online with Baselane will automatically generate and send a monthly rent receipt. You can save hours each month, and payments are deposited directly into your bank account in as little as 2 days.
Book a free demo to see how Baselane can help streamline your rental property finances.
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